Want To Lean About Trading Binary Options Online? Avoid The Biggest Fraud Regarding Digital Options
So you probably came across the term "binary options" somewhere on the wonderful web, and are wanting to learn more about this form of trading. Binary options simply refers to an option of a put or call, in terms of which way a stock will move. A put means, you are guessing or betting a stock will go down. A call simply means, that you are guess or betting a stock will go up. Binary means two. There are two options. Simple enough huh?
Binary options have been around for years. Binary options are a form of trading whether it be by means of Forex (currencies), stocks, futures, or commodities. So the concept is nothing new. I might add that in order for an U.S. investor partake or be solicited by any binary options trading company, the company must be regulated by the Commodities Futures Trading Commission. If they are not regulated here in the U.S. then it is illegal for that company to solicit in any way shape or form to an U.S. investor. The simple way you can check is by calling directly 1-866-366-2382 to find out for yourself if the company is regulated in the U.S. It only takes a minute in order for you to protect your hard-earned money.
The whole purpose of this article is to inform and educate the ignorant or uneducated in terms of online investing in binary option aka "digital options". I caution you as an investor to beware of companies that solicit you to invest and are not regulated by the CFTC. These companies are popping up a dime a dozen all over the internet. They entice you will unimaginable investment returns and great matching deposit bonuses. For instance, if you deposit $500 dollars with them they promise to give a bonus of say $250 dollars. Sounds appealing doesn't it? Free money! Well, we all know there is no such thing as free money. To make matters worse, once you make a deposit with them you are soon to find out you have entered the circus in getting you withdraw out again. These companies require your social security number, passport, and other vital personal identity information.
Let me get this straight, I am able to give a binary options trading company a deposit instantly, which requires no personal verification, social security number, or passport. Once I want to withdraw my money, then I have to jump through an identity loop. Sounds to me more like Identity Theft 101. Think about it for a minute, I am about to give an unregulated stranger, first my money, then my identity? I think not. Hopefully you are starting to see the puzzle here. These guys out there are complete frauds who are participating in illegal activity. First, by selling to investors without being regulated, then by not following through with withdraws of investors money. This is the scam of 2012 and beyond. So I caution you with regards to binary options online investing. It can sound appealing that you might turn your 500 dollars into 2000 dollars in a week, but if you never get your withdraw, then you have just lost your hard-earned money. It's happening all over the place, with dozens upon dozens of companies appearing out of the mist.
So you ask, if it's illegal for these companies to solicit to U.S. investors why and how is it happening? Well, I'm glad you asked! First off, most of these companies are located in a small island called Cypress. I actually had never fully known where this was, until I was approaching by one of these binary options scams. It's a small island near Greece which is regulated close to zero where these guys flock. Most of them have migrated from the U.K. and when they started clamping down and regulating them, and so they did what most scams do, simply re-locate. So if you get a call by one of these guys just ask them where their main office is, and most likely they will say Cypress. If they say that their company is located in the U.S. then they are probably lying. You can simply check it out for yourself by calling the Commodities Futures Trading Commission directly at 1-866-366-2382.
You might wonder how has this scam become so prominent? Well, it is real simple, these companies offer affiliate commissions to those who sign up clients. So lets say you are a trade strategist for a moment. You have 50 clients that you share your trading strategies with, whether it be by an online course or newsletter. Now you have 50 clients that you can milk even further. At $100-200 an affiliate commission, you can see how $5000-10,000 dollars made by a simple email to your clients. Just remember this is for one company only. If one goes under, all you simply have to do is notify the clients that the company you recommended really wasn't a good pick and it's now time to move on to another company. So here you have it again, more money in the tune of tens of thousands of dollars switching hands illegally. Remember this is an unregulated company from the start. So any commissions earned were illegal. This is one person earning an affiliate commission from one or two companies. Can you imagine a few thousand affiliates from a few thousand companies. We are talking about hundreds of millions of dollars floating about illegally. You can see it's very lucrative for these companies, although not ethical, after all it's all free money for them.
As a veteran internet marketing entrepreneur, I was able to spot this scam from the jump street, and hopefully put an end to it before it really gets off the ground. Sure, I could easily be promoting these companies myself and earning big money, but I prefer my freedom instead. So I choose to steer clear of these companies and this unregulated industry. If it's not regulated by our government, I don't want a piece of that pie! After all, I don't think they serve pie in prison.
I hope the government puts these guys out of business once and for all. In order for that to happen, people need to be informed first of the scam, and then of course how it operates. Knowledge is power. In the world of online investing, it's a super power. So, now you know a little bit about how these companies work and the scams they operate. Now it's your job to inform your friends and family so they do not fall victim to this tragedy. After all, it's your hard-earned money, and in this economy every penny counts.
If you interested in investing, do it legally and under the regulation of the U.S. government. They are there to protect consumers like you so that you don't get burnt or taken to the bank. I love the Forex market. It's really the only market where you can trade 24 hours of the day. If you learn the trends, charts, and signals, you can make a good living trading there. I would recommend starting off by going to the Forex website and open a free demo account. It won't cost you a thing. Don't add real money to it until you understand the trends and charts. If you have the proper courses and training you should be on your way within 60 days, give or take. I hope this article informed you as the average hardworking man or woman looking to invest. Please feel free to share with all your friends, so they too can avoid losing their money also. I will include a couple of education materials that helped me get started in investing in the market. I hope they help you as they did me.
